Break-even ROAS Calculator
Break-even ROAS & Target ROAS by Funnel
The ROAS you need is set by your margin, not a benchmark. Pick your funnel, enter your numbers, drag your achieved ROAS along the profit curve, and see exactly where each order turns profitable.
Select your funnel, then customise every field
Physical product — contribution margin around a third is common after COGS, shipping and returns.
Your Numbers
Fully editableContribution margin%
What survives per order after COGS, shipping, fees, returns and discounts. Not sure? Use the Margin Calculator.
Target net margin after ad spend%
The profit you want to keep on each order after paying for the ad that drove it.
Average Order / Deal Value$
Used to translate ROAS targets into a maximum cost per acquisition.
What-if: your achieved ROAS3.00x
Net margin at this ROAS1.7% · 1.08/order
How this works
At break-even, every dollar of contribution margin funds a dollar of ad spend — so break-even ROAS is1 ÷ contribution margin. Keeping a target net margin means spending only the margin left over, which raises the ROAS you need. At a 35% margin you can spend up to 35% of revenue on ads before you lose money.
ROAS TargetsFrom your margin
Break-even ROAS2.86x
Below this ROAS, each order loses money.Target ROAS (for 10% net)4.00x
Hit this to keep your target profit per order.Max CAC (break-even)$22.75
Most you can pay per orderTarget CAC$16.25
To keep 10% netBalanced Corridor
Break-even ROAS in the 1.8x-3x band is workable. Protect margin and test into scale carefully — the gap between break-even and your target ROAS is where the profit lives.
Profit vs Achieved ROAS
Net margin at each ROASNet margin curveBreak-evenTarget ROASYour achieved ROAS
At a 3.00x achieved ROAS you keep 1.7% net margin — about 1.08 profit per order. You are 0.14x above break-even, so this spend is profitable and there is room to bid up for volume.
Compounding Growth Insights
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We document strict performance blueprints, privacy-centric analytics, and pricing structures directly linked to conversions.Highly recommended read for this page: Signal & Inertia